The real estate developer who holds the lease on the former General Motors assembly plant in Shreveport, Louisiana that Elio Motors plans on using has exclusively told TTAC that regardless of published reports, another tenant will not be replacing Elio and that the automotive startup has a signed lease for the facility and is on schedule with its plans to start production in early 2015.
In other news on the Elio front, the company had earlier indicated that while retail sales will be handled by factory owned outlets, parts, service and warranty work will be performed by a nationwide chain of repair shops. That chain has now been identified as Pep Boys. (Read More…)
Since we last looked at Elio Motors, the startup that plans on selling an 84 mpg, $6,800 tandem reverse trike to people looking to replace 15 year old beaters, there have been a number of developments involving the company. To begin with, the start of production has been pushed back until the beginning of 2015. Though Elio had originally announced that production would start in Q4 of this year, there were delays in finalizing the real estate deal for the former General Motors assembly plant in Shreveport, Louisiana where Elio plans to build their vehicles, including assembling their own engines (whose preliminary specifications have been announced). There have also be some changes to the car’s design as it gets closer to production, with a fourth prototype being introduced. Finally, Elio has announced how they will market and service the vehicle. Like Tesla, they will be setting up factory owned stores to sell directly to customers. Those stores, though, won’t be providing service.
Former Hyundai executive John Krafcik recently spoke about connectivity and autonomy and of the possibility that electronic gizmos in our cars may make us less connected to the driving experience. That’s not the only challenge automakers and drivers face when it comes to electronics in cars. After seeing the missteps that Ford has made with Sync and MyFordTouch, with systems seemingly too complicated or not reliable enough for many drivers, it appears to me that the challenge of chasing a technological treadmill to try and keep cars, which most consumers keep for years, electronically up to date, is a fools errand. Comments to Derek’s post on Krafcik’s statement indicated that there’s definitely a market for less complicated car electronics. People have asked, “why does my car need to duplicate the more up-to-date services that my smartphone provides?” Well, someone at Continental Tire’s electronics and instrument division, VDO, asked that same question and they came up with the Flexible Smartphone Docking Station. (Read More…)
Elio Motors is one of those automotive startups that raises all sorts of flags that makes some people think that it’s a scam, or at least on shaky financial ground. Almost every bit of news from Elio has been greeted with some skepticism, understandably (here, here, and here). They’re planning on selling a three wheel vehicle with a composite body that gets amazing gas mileage. Those facts alone remind people of the Dale scam, and the failed Aptera venture. Also, they’re taking deposits on a vehicle whose design has not been finalized, a year away from production, and that evokes memories of Preston Tucker, who had his own problems. Then there’s the financing plan that Elio says will allow people currently driving beaters, the working poor if you will, to get a new car with a warranty just for what they’re currently paying for gasoline. When you buy the $6,800 tandem two seater reverse trike, whatever balance there is after your trade-in and/or deposit is applied will go on a credit card. Monthly payments will be required to pay down the balance but the way Elio is pitching it, when you use that credit card to buy gasoline (and some other purchases) instead of being billed for the actual cost of the gas, you’ll be billed 3 times that amount and the difference between the actual price and the billed price will be used to pay off the car.
Why 3X the price of gas? (Read More…)